| ID | 159071 |
| Title Proper | Tariff and exchange rate pass-through for Chinese exports |
| Other Title Information | a firm-level analysis across customs regimes |
| Language | ENG |
| Author | Bouvet, Florence |
| Summary / Abstract (Note) | We examine whether a firm's import content share differentially affects the degree of tariff and exchange rate pass-through into its export prices. Our pricing-to-market model suggests that a firm's import content share negatively affects the degree of exchange rate pass-through but does not affect the degree of tariff pass-through. Using firm-level data for Chinese exporting firms during the period 2000–2006, we find evidence of an almost complete exchange rate pass-through. As expected, when we distinguish firms by their trade regime, processing-trade firms, especially pure-assembly firms which tend to have higher import-content share, have a lower exchange rate pass-through than ordinary trade firms. We find no evidence that the tariff pass-through differs across the various trade regimes. |
| `In' analytical Note | China Economic Review Vol. 45; Dec 2017: p.87-96 |
| Journal Source | China Economic Review 2017-12 |
| Key Words | Exchange-Rate Pass-Through ; Tariff Pass-Through ; ChinaFirm Type ; Custom Regime |